Analyzing SmartCentres Real Estate Investment Trust (CWYUF) and The Competition

SmartCentres Real Estate Investment Trust (OTCMKTS:CWYUF) is one of 25 public companies in the “REIT – EQTY TRUST – RETAIL” industry, but how does it compare to its rivals? We will compare SmartCentres Real Estate Investment Trust to similar businesses based on the strength of its risk, valuation, earnings, profitability, dividends, analyst recommendations and institutional ownership.

Analyst Ratings

This is a summary of current ratings and target prices for SmartCentres Real Estate Investment Trust and its rivals, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
SmartCentres Real Estate Investment Trust	0	0	0	2	4.00
SmartCentres Real Estate Investment Trust Competitors	337	1952	2106	79	2.43

As a group, “REIT – EQTY TRUST – RETAIL” companies have a potential upside of 19.58%. Given SmartCentres Real Estate Investment Trust’s rivals higher possible upside, analysts clearly believe SmartCentres Real Estate Investment Trust has less favorable growth aspects than its rivals.

Profitability

This table compares SmartCentres Real Estate Investment Trust and its rivals’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
SmartCentres Real Estate Investment Trust	35.62%	4.74%	2.50%
SmartCentres Real Estate Investment Trust Competitors	26.27%	10.69%	3.37%

Dividends

SmartCentres Real Estate Investment Trust pays an annual dividend of $1.34 per share and has a dividend yield of 7.2%. SmartCentres Real Estate Investment Trust pays out 109.8% of its earnings in the form of a dividend, suggesting it may not have sufficient earnings to cover its dividend payment in the future. As a group, “REIT – EQTY TRUST – RETAIL” companies pay a dividend yield of 3.6% and pay out 163.4% of their earnings in the form of a dividend. SmartCentres Real Estate Investment Trust is clearly a better dividend stock than its rivals, given its higher yield and lower payout ratio.

Volatility & Risk

SmartCentres Real Estate Investment Trust has a beta of 0.91, suggesting that its stock price is 9% less volatile than the S&P 500. Comparatively, SmartCentres Real Estate Investment Trust’s rivals have a beta of 1.13, suggesting that their average stock price is 13% more volatile than the S&P 500.

Earnings and Valuation

This table compares SmartCentres Real Estate Investment Trust and its rivals top-line revenue, earnings per share and valuation.

	Gross Revenue	Net Income	Price/Earnings Ratio
SmartCentres Real Estate Investment Trust	$670.29 million	$172.78 million	15.22
SmartCentres Real Estate Investment Trust Competitors	$1.44 billion	$293.45 million	43.98

SmartCentres Real Estate Investment Trust’s rivals have higher revenue and earnings than SmartCentres Real Estate Investment Trust. SmartCentres Real Estate Investment Trust is trading at a lower price-to-earnings ratio than its rivals, indicating that it is currently more affordable than other companies in its industry.

Insider and Institutional Ownership

85.3% of shares of all “REIT – EQTY TRUST – RETAIL” companies are held by institutional investors. 20.9% of SmartCentres Real Estate Investment Trust shares are held by company insiders. Comparatively, 8.5% of shares of all “REIT – EQTY TRUST – RETAIL” companies are held by company insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a stock is poised for long-term growth.

Summary

SmartCentres Real Estate Investment Trust rivals beat SmartCentres Real Estate Investment Trust on 9 of the 15 factors compared.

SmartCentres Real Estate Investment Trust Company Profile

SmartCentres is one of Canada’s largest fully integrated REITs, with a best-in-class and growing mixed-use portfolio featuring 191 strategically located properties in communities across the country. SmartCentres has approximately $12.0 billion in assets and owns 35.0 million square feet of income producing value-oriented retail and first-class office properties with 98.5% in place and committed occupancy, on 3,500 acres of owned land across Canada.